Table management

Why KRG Hospitality Offers Tech-stack Planning

by David Klemt

Black-and-white photograph of shelves loaded with broken desktop computers and monitors

If your hardware looks like this, it may be time to update your tech stack.

Navigating the seemingly endless restaurant, bar, and hotel technology options available to operators can feel like an overwhelmingly complex task.

This can be particularly true for brand-new operators and those with a decade or more of experience under their belts. For the former, where does one with little to no experience even begin putting together their technology stack?

And for the latter, what tech upgrades are worth implementing, and which platforms are crucial; which are nice to have; and which are unnecessary for a particular concept?

Sitting down and sifting through the platforms within just a few categories can be a significant investment of time. Learning to use each solution and training relevant team members on them also requires considerable time and effort. That’s to say nothing of the initial and monthly outlay of precious monetary resources after making selections.

Of course, there’s also the nagging feeling that maybe the platforms chosen aren’t the “right” fit, or the best in class.

Most operators, regardless of the length of time they’ve been in hospitality, are aware of a handful of tech selections they need to make. They know they need a point-of-sale system, a customer relationship management option, an online ordering platform, a reservation system.

But what about inventory, gratuity management, marketing campaign management, guest feedback, scheduling, catering, website chatbots, AI-enhanced loyalty programs, and even kitchen displays?

According to Brizo Foodmetrics, operators need to consider a dozen tech categories. At KRG Hospitality, we say there are at least that many.

Difficult Choices

Per a new report from Nation’s Restaurant News, people are excited but cautious about the tech available to the hospitality industry. Anyone interested in reviewing the 2024 Restaurant Technology Outlook report can click here to gain access.

Among the report’s insights are the identification of a number of challenges operators face when it comes to tech decisions. The most-significant barrier is still pricing, with 37 percent of NRN survey respondents saying hardware comes with high costs. Further, 30 percent think there’s not enough transparency surrounding additional fees.

There’s also an interesting perception as regards features. While 33 percent of respondents feel the systems they’ve selected are light on functionality, 18 percent say their systems have functions that they don’t even use.

Thirty-two percent of survey respondents identify a lack of knowledge of systems as a barrier to adopting new tech solutions. In some good news, just ten percent of respondents say systems are too difficult to use. Still, ten percent of our industry is a significant number.

Combined, 87 percent of those surveyed will either possibly (24%), probably (33%), or definitely (30%) invest in tech in 2024. That’s an impressive number.

However, 39 percent of respondents were “definitely” going to invest in tech in 2023. That’s a drop of nine percent.

Here to Help

When we at KRG develop a tech stack for a client, it’s with their specific project and needs in mind.

And while we do have preferred partners, we present multiple options. Moreover, each option comes with a synopsis of features and a justification for its inclusion.

If a preferred partner isn’t the best option or the client wants to choose something else, we support that decision. Tech is challenging enough already without being steered toward specific platforms for no other reason than, “We like this one.” These decisions aren’t about us, they’re about what’s best for our clients.

At the end of each tech-stack plan are estimated costs for each option. We include the onboarding fees, monthly fees, and the annual cost. Again, these are close estimates as modules, additional features and hardware like handhelds, and subscriptions can increase or reduce the overall cost.

The hospitality industry tech landscape is transforming from a barren desert to a thriving wetland. KRG Hospitality is here to help you navigate this complex terrain.

Image: z yu on Unsplash

How SevenRooms Improves Operations

by David Klemt

It’s true that SevenRooms is a reservation management platform. However, it’s so much more powerful than that.

Simply put, if the platform wasn’t simple to use and integrate with other systems, they wouldn’t be celebrating their tenth year.

A recent interview via Clubhouse highlights why now, more than ever, operators need to seriously consider SevenRooms.

Background

Guy Clarke, founder of Sizzle Dining, spoke with two key SevenRooms team members in a casual but informative Clubhouse chat.

Allison Page, SevenRooms co-founder and Chief Product Officer, and Marybeth Sheppard, senior vice president of marketing, fielded Clarke’s questions.

Interestingly, Page admits SevenRooms took five to seven years to really fine-tune operations. In fact, she says that the team didn’t quite know exactly what they were offering for the first year or two.

Now, the “reservation” platform has truly hit their stride. The company doesn’t just manage reservations, it provides powerful solutions: a full suite of operational tools; table management; and guest experience and retention capabilities.

Of course, many tech platforms claim to help operators. However, SevenRooms is now enjoying a decade in business.

Their longevity is, in part, due to their approach to hospitality. As Page tells it, the founders didn’t just enter the industry believing they could “fix it” with tech.

Plenty of tech folks have identified problems in hospitality, boasted about their “common sense” solution, and exited after finding out how challenging the business is.

Instead, the SevenRooms team spent time in the trenches. According to Page, they took reservations, checked coats, and more. They spent time with hospitality workers after hours and got to know them.

What’s with that Name?

I’ve written several articles about SevenRooms. However, I’ve never addressed why the founders chose that name.

When asked by Clarke during the Clubhouse chat, Page provided the answer.

Turns out, the name is a loose nod to Graydon Carter’s “Seven Rooms Theory.” The theory speaks to navigating social status in New York City. In short, it posits that the NYC social scene consists of seven consecutive “rooms,” each with a secret door. Find the secret door, move to the next room.

Of course, SevenRooms isn’t about exclusivity. Instead, SevenRooms is helping operators reach the seventh “room,” which is a lasting relationship with a guest. The six previous rooms are a journey toward understanding that guest and making them loyal by delivering incredible guest experiences.

Why SevenRooms Works

If this seems like a shameless plug for SevenRooms, well, it sort of is. They didn’t pay me, Doug or KRG Hospitality to promote the platform; we just like what SevenRooms can do for operators.

In an industry that has until recently been slow to innovate when it comes to tech, the platform has been improving restaurant and hotel operations for years.

According to Page, SevenRooms has a simple operating philosophy that drives the company: “Make small big, make big small.” SevenRooms is driven to help small, independent operations punch well above their weight class. The platform gives independent operators the same capabilities as their large chain counterparts.

Conversely, SevenRooms gives enterprise operators an effective way to deliver the engaging experiences that independents offer their guests.

However, there are other reasons SevenRooms is so worthy of consideration: simplicity.

SevenRooms is all about collecting data. Of course, data does no good if an operator doesn’t know what to do with it. If they had to analyze and leverage it on their own, they’d need to employ data scientists and an entire marketing team.

Well, SevenRooms employs those people instead so operators don’t need to. An operator doesn’t need to be a data scientist to use the information they collect through the platform. Marketing campaigns are automated and engaging, and require little effort from the end user.

Reduce Costs, Increase Revenue

As Sheppard explains, SevenRooms manages and, more importantly, helps maximize a restaurant’s floor.

Looking to increase turns? Done. Want every seat to generate revenue? Smart seating makes that possible. According to Sheppard, SevenRooms’ auto-assign seating functionality is worthy of operators’ trust. Additionally, the platform’s CRM, table management and marketing tools help staff upsell guests.

Speaking of automated functions, Sheppard provides insight into SevenRooms auto-tagging. The platform assigns automated tags that make it simple for staff to understand the guests they’re serving. Some examples are:

Burger lover
Red wine lover
Big tipper
Loves expensive wine
No-showed twice

Just those five examples show how SevenRooms helps operators and their teams maximize the guest experience to generate revenue. So, how does the platform reduce costs?

First, investing in SevenRooms reduces an operator’s overall tech stack investment. It integrates with around 50 POS systems and offers several tools (modules), meaning an operator doesn’t need to purchase several platforms that may not integrate with one another.

Second, the reservation and table management tools streamline an operator’s business. When team members are focusing on revenue-generating tasks, the floor is being sat more efficiently, and guests are being wowed, costs are driven down and revenue is driven up.

Then, there’s the “hidden” benefit. As Sheppard says, hospitality is a passion-driven industry. Unfortunately, there are many “non-passion” tasks that must be accomplished for operators to make money and keep their doors open.

Those tasks can take a toll, leading to an operator to fall out of love with the industry and their own concept. Well, SevenRooms takes several of those tasks (sifting through data, creating marketing campaigns, figuring out how to maximize the floor, etc.) and automates them.

Therefore, operators have more time to program menus, mentor team members, forge relationships with guests by touching tables, and more.

To request a SevenRooms demo, click here.

Image: John Schnobrich on Unsplash